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Ask Gary Campaign Cuts Staff

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By MICHAEL SASSO, The Tampa Tribune

Published: November 22, 2007

TAMPA - The medical group behind the 1-800-ASK-GARY ad campaign is cutting back its staff in Florida, because a change in the state's auto insurance law threatens to cut its revenue.

The layoffs may foreshadow other similar cutbacks at accident and chiropractic clinics across Florida, as the clinic owners prepare for a drop in revenue and profit.
Physicians Group operates about 40 auto accident clinics and other facilities stretching from Naples in the south to Lake City in the north. It is best known for its advertising, which encourages people to call 1-800-ASK-GARY for a legal referral after an auto accident. Operators for the hot line often refer injured callers to Physicians Group's clinics.

This week, Greg Zitani, an outside counsel for the company, said it recently had to cut about 40 jobs out of a work force that ranges from 450 to 540 people. With a recent change in personal injury protection, or "no-fault," insurance, Physicians Group thinks its revenue will decrease in the future, Zitani said.

Under Florida's old no-fault law, clinics were free to set their own rates for treatment, because there was no fee schedule that dictated how much clinics could charge. That led to numerous battles over medical fees between auto insurance companies and the chiropractors and clinic companies that treat accident victims.

Under the new law, the fee for most medical procedures would be capped at 200 percent of what is allowed under the Medicare system.
Physicians Group founder Gary Kompothecras sent an e-mail to employees this month announcing the layoffs. The Tribune received a copy from a Physicians Group employee.

"Against all odds, we were able to preserve the no fault system but at a high price," Kompothecras says in the e-mail. "The price is a low income fee schedule. This has the effect of decreasing our revenues significantly and has required reducing staff."

Reporter Michael Sasso can be reached at msasso@tampatrib.com or (813) 259-7865.

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